Mobile advertising is expected to grow by 20 per cent this year, as consumers shift from traditional TV to the web, but that will leave a gaping hole in the ad business.
The big players in the market are facing an uncertain future.
The mobile advertising industry is facing its first year of growth and has been buffeted by competition from rivals including Amazon and Google, as well as its own mobile platforms.
“Mobile advertising is really not what it used to be.
There is a lot of competition in the mobile space,” said Michael Mears, senior analyst at Nielsen Canada.”
Now, people are switching to the internet and mobile devices, so there is a real need for ad formats to be optimized for those devices.”
For consumers who may be hesitant to switch from traditional advertising to the cloud, Mears said there are a number of options for digital ad formats that can be used on devices and apps.
“There is a very wide variety of options that people can look at,” he said.
“Some are really good.
Some are not so good, but there is definitely a big market for them.”
Mears said many ad formats will continue to offer digital advertising, even if they are no longer used in traditional TV.
“I think there is an increasing amount of demand for digital advertising because the digital business is booming,” he noted.
“But it is not the only way to get paid, and there are plenty of other ways to do it.”
Miles said there is still room for improvement for ad platforms.
“We are in a period of rapid change, but it is going to take time to see the full impact,” he warned.
With files from The Canadian Press